Revisiting the structured debt financial instruments disclosure

The increasing complexity of structured financial instruments requires more transparency in terms of price determination. The European Commission announced a final draft of PRIIPs requirements which entered into force on January 01, 2018. It requires KID disclosure for any structured financial instrument. The information stated in KID is supposed to help investors understand the composition of costs, gains and losses and have an option of comparing products similar in nature. However, some figures disclosed in accordance with PRIIPs Regulation could sometimes mislead investors. The possible implementation of disclosure regulation in Russia and alternative measures are discussed.